Mattel’s factory report mixed
By Staff -- Playthings, 1/29/2008 9:00:00 AM
NEW YORK—The International Center for Corporate Accountability (ICCA) this week released results of an audit of workplace conditions completed last year for seven of Mattel's vendor-operated manufacturing facilities in China.
The results, said Dr. S. Prakash Sethi, president of ICCA, "show that treatment of workers, training and protection from harassment are good. However, there are a number of significant areas that demand improvement, including working hours and prompt payment of wages; maintenance; and environmental, health and safety requirements ... And while I'm heartened that the newly audited facilities would be in significant compliance with some improvements, I'm disappointed that the previously audited plants didn't perform better."
The audit was commissioned by Mattel as part of its commitment to upholding its Global Manufacturing Principles code of conduct by providing an unbiased, third-party analysis of working conditions in Mattel's manufacturing facilities. Voluntary audit reports of Mattel-owned manufacturing facilities have been published since 1999. ICCA has publicly announced the results of its review of Mattel's major outside vendors since 2002.
The seven factories inspected included two facilities audited for the first time, one inspected for a second time, and three facilities visited for the third time. The names of the plants audited were not released.
Among the problems found were:
• instances where working hours or the number of peak workweeks exceeded Mattel's GMP standards;
• issues in the granting of annual leave to workers, specifically about when annual leave can be taken;
• a vendor failing to communicate leave benefits to employees in the company handbook or via other usual means;
• issues with time-keeping and/or a delay in prompt payment of wages at several plants;
• worker dissatisfaction over limitations related to restroom and drinking water access;
• inadequacies pertaining to environmental issues, including disposal of wastewater, noise levels, temperature, storage of materials and air emissions;
• improvements needed with regard to facility maintenance and employee safety training, as well as availability and proper use of personal protective equipment.
Concerns related to certain hiring practices, employee fees for pre-employment medical exams and full payment of maternity leave benefits are already being addressed, with compliance to be confirmed by June 30, 2008, according to Mattel. The company has also agreed to review GMP standards and include information about payment of maternity benefits in GMP capacity building programs.
Mattel has already begun working with the vendors to implement action plans to correct deficiencies, the company said. "While these facilities didn't show the improvement we would like to have seen, we will diligently work with our vendors to ensure that they make the appropriate improvements in order to comply with our GMP standards," said Geoff Massingberd, senior vice president of Corporate Responsibility at Mattel. "We have made it clear that compliance is not an option, but rather a requirement for continued business from Mattel."
Detailed responses from Mattel to problem areas cited in the report can be found here.
Positives among the vendor plants included:
• maintaining a fair and harassment-free environment, with freedom of association and the right to join a lawful organization available to all employees;
• “generally good” employee access to and communication with management;
• safe and clean dormitories with good food service;
• access to adequate medical care;
• compliance for payment of legally mandated minimum and overtime wages, social insurance and related benefits;
• recreation and non-job-related training opportunities for employees (not required by Mattel's GMP).
The full text of the report can be found here.

















